Venezuela sells gasoline against foreign currency on Colombian border

Venezuela selling gasoline against foreign currencies in the region on the border with Colombia, said President Nicolas Maduro. The sale of fuel against foreign currencies, including Colombian pesos, will be in done in the state oil and gas company PDVSA. Maduro told the state television that the goal is to stabilize the economy and to deprive the mob of its power.

Thanks to government subsidies, the gasoline in Venezuela is considered almost the cheapest in the world and speculators from all sides of the border took advantage of this for many years. It is expected that the new decision of the authorities will help to stop the resale of fuel.

Meanwhile, on January 1 the country shrinks its oil production by 95,000 barrels per day. This step aims at reducing global oversupply and stabilize prices.

Venezuela is among the countries that suffered most from the collapse of oil prices since mid-2014. So far in the South American country are mined 2.4 million barrels of oil per day.

The South American oil-rich country is suffering from large economy crisis caused by low oil prices and hyper-inflation in the country, which spread poverty and caused shortage of food and medicine.